The value of loans to buy cars and make home improvements reached record levels in the third quarter of last year, according to new figures from the Banking & Payments Federation Ireland (BPFI).
The BPFI statistics are collated from its members, which include high street banks such as AIB, Bank of Ireland and PTSB.
They show that the 62,598 personal loans drawn down across all categories amounted to €670m in value in Q3. The average personal loan value rose by €374 year-on-year to €10,709.
More than 17,000 car loans were drawn down during the quarter, nearly 14% higher than the same period in 2023, while the value of those loans rose by more than a fifth (+21.4%) to €229m.
The average car loan for the period was €13,434, up by €835 from Q3 2023, which the BPFI said likely reflects the continuing shift towards electric and plug-in hybrid electric vehicles.
Borrowing for home improvements also saw a surge, with a 12.3% increase to 16,194 loans valued at €204m (+17.6%). The average home-improvement loan during Q3 of 2024 was €12,606.
The figures also show the average green loan reached its highest point to date at just over €24,000. A total of 1,329 (+6.3%) green loans worth €32m (+18.6%) were drawn down between July and September.
BPFI chief executive Brian Hayes said it is "encouraging to see positive momentum in green personal loans".
"While the SEAI has reported that 54,000 retrofits were completed to a total value of €420m in 2024, of which 22,000 were for upgrades to B2, the rollout of the Home Energy Upgrade Loan Scheme by government last year, could support further growth in the market going forward," he added.
